1. Information Systems for Competitive Advantage

2. six major roles and goals of IT
1. Increase employee productivity by reducing time, errors and costs using
2. Enhance decision making
3. Improve team collaboration
4. Create business partnerships and alliances
5. Enable global reach all over the world taking into consideration the culture of each nation or society.
6. Facilitate organizational transformation as the organization evolves and responds to the ever-changing marketplace.

4. NFL Coaches
NFL Coaches
What sources of competitive advantage can you identify the New England Patriots have by using information technology?
Are these long term, sustainable competitive advantages?
From our list of Roles and goals of Technology, what does the IS of the NFL do?

5. Three Primary Uses of Information Systems
______________
Providing support to complete a task faster, more cheaply, and perhaps with greater accuracy and/or consistency
____________________________
Providing support to improve day-to-day operations by creating, acquiring, and transferring knowledge
____________________________
Providing support in a way that enables the firm to gain or sustain competitive advantage over rivals

6. Why Use information Systems

7. IS for Automating: Doing things faster
Automation
Providing support to complete a task faster, more cheaply, and perhaps with greater accuracy and/or consistency
Styles of Processing
Manual Processing
Technology Supported Processing
Fully Automated Processing

8. Benefits of Automation – Loan Example
Table 2.1

9. is for organizational learning Doing things better
Organizational Learning (Informating)
Providing support to improve day-to-day operations by creating, acquiring, and transferring knowledge
______________
______________
______________

10. Organizational Learning Example

11. IS for supporting strategy Doing things smarter
____________________________
Providing support in a way that enables the firm to gain or sustain competitive advantage over rivals
Sources of Competitive Advantage
best-made ___________
superior ______________ service
lower cost than rivals
proprietary ______________ technology
shorter lead-times in ___________ & testing new products
brand name and ______________
more ___________ for their money

12. Strategy

13. Is for competitive advantage
IS and Value Chain Analysis
The roles of IS in Value Chain Analysis
The technology strategy Fit

14. Value Chain Analysis
Is a process of analyzing an organization’s activities to determine where value is added to products and/or services and what costs are incurred in doing so.

15. Information Systems Roles in the Value Chain

16. Net Flix
Net Flix
Describe Net Flix’s competitive advantage and what are the sources of that competitive advantage ?
Discuss where you feel Net Flix uses of information systems helps them add value in the Value chain.

17. Making the business case for a system
Identifying the ___________ provided by an information system
Business Case Development Issues
Several common issues create difficulty in defining business cases for information systems including:
Measurement ___________
Time Lags
___________
Mismanagement

18. Making the business case for a system
___________ Problems
benefits are difficult to pinpoint --may be ___________ the wrong things
Expected ___________ not always defined in advance, so they are never seen (they must be identified to measure).
The biggest increases in productivity come from system effectiveness but many metrics focus on system efficiency
___________ Lags
Describes the ___________ in time from when the IT expenditure was made and when the ___________ are realized
Why?

19. Making the business case for a system
___________
IS may be beneficial to individual firms, but not for an entire industry or the economy as a whole
Strategic information systems may help one firm increase its market share at the expense of others (redistributing)
Expectations have increased as technology has become prevalent. We forget the gains that have been realized.
___________
IS has not been ___________ and ___________ well
Some believe that people simply build bad systems, implement them poorly, and rely on technology fixes for problems that require joint technology/process solutions
Inappropriate IS investments can mask or even increase organizational slack and inefficiency

20. Making a successful business case
Individuals in organizations generally use one, or in most cases, a combination of the following argument types to justify investments in information systems
Based on ___________

21. Business case arguments based on ___________
Arguments based on beliefs about organizational strategy, competitive advantage, industry forces, customer perceptions, market share, and so on

22. Business case arguments based on ___________
Arguments based on the notion that if the system is not implemented, the firm will lose out to the competition or, worse, go out of business

23. Business case arguments based on FEAR
Factors to consider
Industry factors
Regulation
Nature of competition

24. THE FIVE FORCES MODEL – analyze competitive forces in an Industry
How IS can have a factor in the industry

25. Business case arguments based on ___________
Arguments based on data, quantitative analysis and/or indisputable factors

26. Presenting the business case
Know the _________
The IS manager
Company executives
Convert to _________terms
Devise _________ variables
Measure what is _________to management
Assessing value for IT _________
Changing mindsets about IS

27. Competitive advantage in being at the cutting edge
The need for constant IS _________
The cutting edge vs. the _________ edge
Requirements for being on the _________ edge
_________ the new, new thing

28. UTZ Chips case Answer the following
Analyze the industry that UTZ is in using the porter model, is it a good industry to be in?
What competitive advantage do you feel Utz has? How does information play into that competitive advantage
Where in the value chain should they next upgrade their use of technology for the biggest biggest gains – how would you present that to management?